US president Joe Biden is set to announce a tax aimed at US billionaires as part of his 2023 budget plan later today (28 March).
The Washington Post, citing five sources and an internal administration document, said the "billionaire minimum income tax" plan would establish a 20% minimum tax rate on all American households worth more than $100m.
That would mean the majority of new revenue would come from billionaires, who are a frequent target of public and political ire for tax avoidance schemes. The paper said it would be "a tax on the richest 700 Americans for the first time".
The Post said that the White House Office of Management and Budget and the council of economic advisers estimated some 400 billionaire US families paid an average federal tax rate of just about 8% of their income between 2010 and 2018 - significantly lower than millions of Americans who are far less wealthy.
It quoted the administration document as saying: "The billionaire minimum income tax will ensure that the very wealthiest Americans pay a tax rate of at least 20% on their full income … This minimum tax would make sure that the wealthiest Americans no longer pay a tax rate lower than teachers and firefighters."
